¶ … Message and E-Tailing
Background- E-Commerce is the buying and selling of products and services over electronic means, usually the Internet. As Internet usage grows, so does trade conducted electronically, allowing for a number of improvements and innovations that follow suit. Most economists see e-commerce as a market segment that leads to intensive price competition and consumers armed with greater knowledge. In two particular industries, e-commerce has actually changed the way the market works on those industries, causing the brick and mortar versions to fade away. One of these is the book industry, in which larger e-commerce firms like Amazon.com, use economies of scale to drop prices, increase variety, and capture the market (The Click and the Dead, 2010).
Levels of Interaction- E-commerce has changed business models globally. The United Kingdom actually has the largest e-commerce market in the world, even higher than the United States. This has certainly changed the dynamics for marketing and advertising all over the world (Robinson, 2010). Even countries who are new to the Internet, or who have limited Internet access expand with e-tailing (e.g. China and almost $40 billion in 2009). E-commerce is an important business tool not only to sell to customers, but also to engage them in the process of computer-based shopping (Eisingerich and Kretschmer, 2008).
Many scholars believed that e-tailing would lead to intense price competition since it increases consumers' ability to shop the market, gather information, and decide with whom and how to purchase. Two particularly market niches have been affected by e-tailing, bookstores and travel agencies. Amazon has really captured the market in books, and there are very few small travel agencies left- consumers can find better deals quicker through the Internet. Instead, what has occurred is a market scaling -- larger companies can usually offer better prices, and even with shipping can usually out-compete the local retailer. This has formed two distinct aspects of e-tailing: the pure-click shops that have no local brick and mortar and who have launched a website without any previous experience. These firms are both price and customer service driven. The second type are Brick and Click firms that are existing companies, usually have a brick and mortar location, but also know they need to expand and enhance their distribution profile more (Graham, 2008).
There are three basic interactions between e-tailers and consumers: the product, the process, and finally the partnership.
Product -- Consumer develops and enhances preferences and learns to evaluate difference; E-Tailing strategies include: price discrimination, price attributes, product differentiation, and bundling strategies.
Process -- Consumer takes in information, evaluates it against e-tailer's...
behaviors inherent in e-tailing (in business-to-Consumer relationships / communications). Note the communications medium in which each behavior occurs. Explain how each medium enables e-commerce. E-tailing is the business of electronic retailing or retailing over the Internet (*). There are three types of e-tailing behavior: independent, intervening variables, and dependent variables. Independent: The independent retailer will want to know two variables of the people who generally resort to e-commerce. These are: (a) personal characteristics
Banking and financial services includes such firms as investment banks, commercial banks, brokerage firms, and credit card institutions. The common it pulse throughout the daily operations of these organizations involves utilizing systems to communicate between branches and subsidiaries, establishing operations throughout the world, communicating with the end customer in order to facilitate transactions, and analyzing customer and market attributes in order to reduce uncertainties in such aspects as pricing
Com. In case of several companies, enhancing customer relationships is among the most capable features of e-commerce. However, whereas the Internet has presented the consent of a novel method to draw and communicate with the customer, hardly few enterprises have discovered a method to efficiently manage interactions with their customers on the Internet. (David, 2000) The real skill is involved in making the device suitable to accomplishment of the business strategy
(Kajuter, Baumgartner & Van, 2001, p. 37) (Hansen, Matthews, Mosconi & Sankaran, 2001, p. 33) Business 2 Consumer (B2C) The realistic and optimal development of the current e-music industry is the shift from illegitimate P2P exchanges to B2C exchanges that allow the artists, support systems and entire communities which rely on revenue from legitimate sales to ensure recovery of investment and potential profit. The potential for such a transition, which could
General description of site The moment you open www.ikea.com you get into a global gateway display. The page allows the user to voluntarily select their location. The page is not country specific. No country, even Sweden, has a preferential billing on the site. To add on this, each country supported by the website is denoted by 2 letters on the domain name. For instance, Germany domain is titled www.ikea.de while France
Tesco, the largest UK company, employs 260,000 people. This corporation has global aspirations and has come a long way in a relatively short period of time" (2003, p. 3). According to the company's promotional literature, the employment figure for 2003 has almost doubled today, as shown in Table 1 below. Table 1 Current Key Figures for Tesco Category Statistic Staff worldwide 472,000 Staff in the UK 287,669 Stores worldwide 5,008 Total stores in the UK 2,545 Extra 13 Homeplus Superstore Metro Express OneStop Number of markets 14 Which markets China, Czech Republic, Hungary,
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